What will happen to the sizes of the M1 money supply and the M2 money supply if the following transactions take place?
a. Tasha withdraws $3,000 from her checking account and holds it as currency.
b. Arturo withdraws $3,000 from his savings account and deposits it in his checking account.
c. Benjamin withdraws 3,000 from his savings account and puts it in a certificate of deposit (CD).
d. Marisol withdraws $3,000 from her home safe and deposits it in her savings account.
a. no change to M1 and no change to M2
b. M1 increases by $3,000; no change to M2
c. no change to M1 and no change to M2
d. M1 decreases by $3,000; no change to M2
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In the figure above, income is most unequally distributed
A) in Country A. B) in Country B. C) in Country C. D) in one of the nations, but without more information, it is not possible to determine in which country income is distributed most unequally.
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a. The monopolist undersupplies the market and charges too high a price. b. The monopolist is a revenue maximizer not a profit maximizer. c. A monopolist has little incentive to produce efficiently (at a low cost). d. All of the above are true.